“Chaos and uncertainty”: Canadian leaders blast U.S. auto tariffs

Ontario Premier Doug Ford and Canadian Prime Minister Mark Carney during a meeting in Ottawa, Canada, on Friday. Photo: Dave Chan/AFP via Getty Images

Canadian politicians and industrial leaders blasted President Trump’s new auto tariffs on Wednesday and vowed a swift response.

Why it matters: One of America’s closest allies three months ago is now preparing for an all-out trade war, with profound implications for both economies.

What they’re saying: Outspoken Ontario premier Doug Ford led the charge against Trump’s levies on imported cars, which are going into effect April 2.

  • “His 25 per cent tariffs on cars and light trucks will do nothing more than increase costs for hard-working American families. U.S. markets are already on the decline as the president causes more chaos and uncertainty. He’s putting American jobs at risk,” Ford wrote on X.
  • He vowed to back any retaliatory tariffs put in place by the national government.
  • Newly sworn-in Prime Minister Mark Carney took a quieter tack, posting a video to social media calling for national unity in the face of what’s likely to be a stiff economic blow.
  • “We have to look out for ourselves and we have to look out for each other,” he said.

The big picture: U.S. trade policy has galvanized an unprecedented anti-American sentiment, and spurred an outbreak of Canadian nationalism strong enough to invert the country’s political alignment.

Yes, but: That upswell of national feeling will soon run headlong into the impacts on the economy of huge tariffs imposed by Canada’s largest trading partner.

  • “Canadian businesses and households are doing their best to navigate the unpredictability of US policy, and that uncertainty is affecting our economy,” Bank of Canada governor Tiff Macklem said last week.
  • RBC economists recently wrote that U.S. tariffs could easy push Canada’s economy into recession by next year, with a surge in unemployment.

What’s next: The ripple effects will likely start appearing in coming days, on both sides of the border.

  • “The consequences of today’s escalation in this destructive tariff war will not be contained to Canada, as much as the U.S. administration would like to pretend,” Canadian Chamber of Commerce CEO Candace Laing said in a statement.
  • With this latest tariff, the U.S. administration has committed to taxing America’s automotive manufacturers and increasing the production cost of a car.”

Go deeper: Canadian PM slams Trump’s “unjustified” tariffs

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